Life insurance for mums

Life for mums is full of uncertainty; however, you can ensure your family’s financial security, whatever the future may hold, with life insurance.

The thought of leaving your children without a mother is truly unbearable.

Whilst the emotional void of losing a mum can never be filled, it’s at least possible to lessen the financial burden.

As a mum, putting in place adequate life insurance means even after you’re gone, you can protect all the important milestones in your children’s lives.

At Reassured we’ve helped over 400,000 families secure affordable life insurance.

(And the best bit, our award-winning FCA regulated broker service is FREE to use)…

As a single mum, it’s possible that you’re the sole breadwinner and the only financial support your children receive.

For this reason, without life insurance, your passing could leave your children in serious financial difficulty, potentially having to move and endure major lifestyle changes.

Life cover can help prevent this upheaval by clearing your mortgage, providing an income for living costs or a lump sum inheritance.

Getting by on a single salary can be very challenging. What’s more, only 38% of single parents receive maintenance payments^[4].

As a result, many single mums don’t think they have the disposable income to afford such luxuries as life insurance.

But life insurance doesn’t have to be expensive. We can secure life insurance for mums on benefits.

Using an FCA registered broker, like Reassured, to compare quotes means you can find the most suitable policy within your budget.

As a working mum, your passing would not only mean the devastating loss of a parent, but also a major financial loss to your family.

Your income would be lost, potentially leaving your family unable to pay the mortgage/rent and other living costs.

Securing life insurance can leave your family with a cash lump sum to minimise any financial disruption.

When arranging life insurance, you should consider the income you contribute as well as what’s needed to cover your family’s lifestyle.

It’s also important to consider any increase in income you may experience over the term as well as any increase in living costs.

Taking out joint life insurance is a cost-effective option which covers both you and your partner simultaneously.

They’re usually 25% - 30% cheaper compared with paying for two separate policies.

However, joint policies only pay out once, usually upon the first death, before expiring.

This could leave your surviving partner unprotected whilst older, thus incurring higher premiums.

At Reassured, we can compare quotes for both single and joint policies on your behalf.

If you smoke your life insurance premiums will be more expensive.

This is because of the associated health risks, which means statistically a claim is more likely.

Insurers mitigate this increased risk by loading premiums.

Therefore, if you're a mum who smokes it's even more important that you compare quotes.

This is because different insurers employ different underwriting processes and therefore costs vary.

However, rest assured that undergoing this process means it’s possible to obtain affordable cover.

At Reassured, we have arranged life insurance for over 100,000 UK smokers.

There are a number of instances where your life insurance can be changed without the need for additional underwriting.

A special events option encompasses circumstances such as having more children or buying a bigger house.

The sum assured can be increased to account for the greater level of protection required.

This increase will, however, be reflected in the cost of your monthly premiums.

If you want to have more children, remember to consider your policy and whether you have enough cover in place to meet your changing circumstances.

On occasions it can be more cost-effective to cancel an existing policy and take out a new one, (although this will depend on your age).

Again, we can help you achieve this by comparing quotes from different insurers.

If you’re a mum, writing your life insurance in trust could be a very good idea and really benefit your dependants.

At Reassured, we offer a free trust writing service to help with the lengthy application process.

We’re also on hand to answer any questions you may have.

Critical illness cover, in contrast, is often sold as a standalone product, (although can be included as part of your life insurance).

Again, it pays out if you’re diagnosed with an illness covered by the policy, although it doesn’t have to be terminal.

This includes cancer, heart attacks and stroke. (If you make a full recovery, you're not required to repay the funds).

Critical illness cover is particularly helpful if your condition isn’t terminal but stops you from being able to work.

At Reassured, we can arrange critical illness cover too. We even have our own critical illness product, Big3, which doesn’t require any additional underwriting.

Nowadays many insurers are offering free life insurance for mums during the first year of their child’s life.

Whilst on the surface this may seem like a good deal, the sum assured rarely exceeds £10,000.

It’s highly unlikely this cover amount would be sufficient in the event of your passing.

To put this into perspective, the average cost a funeral is currently £4,417, leaving very little to support your family with other outgoings such as the mortgage and living costs^[1].

As a result, it’s generally best to arrange standard life insurance for the true amount required to support your family.

[1] SunLife (2020), Cost of Dying Report, sunlife.co.uk/costofdying2020
[2] www.moneyadviceservice.org.uk/en/articles/childcare-costs
[3] www.beaglestreet.com/help/guides/single-parents/
[4] www.thisismoney.co.uk/money/news/article-3387027/One-four-UK-breadwinners-not-life-insurance-buy-life-cover.html
[5] www.bidvine.com/blog/mum-salary/
[6] www.bbc.com/future/story/20151001-why-women-live-longer-than-men